Which of the Following Can Be Described as Involving Indirect

question 1

Multiple Choice

Which of the following can be described as involving indirect finance?

• A)You make a loan to your neighbor.
• B)A corporation buys a share of common stock issued by another corporation in the primary market.
• C)You buy a U.S. Treasury bill from the U.S. Treasury at TreasuryDirect.gov.
• D)You make a deposit at a bank.

---

Definitions:

Interacting Subsystems

Components within a larger system that affect each other's functioning through their interconnection and flow of information.

Production Function

An economic model that describes the relationship between input resources and the output of goods or services that result from those inputs.

Managerial Subsystem

A component of an organization that focuses on administrative and decision-making functions, essential for directing the organization towards its goals.

Traditional Organizational Theory

An approach to organizational management that emphasizes hierarchy, fixed duties, and a top-down flow of information and orders.